Developer Agrees to Buy Baltimore Peninsula Land
The purchase will shift the 90-acre site toward residential use, impacting future housing options for Baltimore residents.
Updated on Oct. 28, 2026 in Commercial
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Developer Mark Sapperstein has reached an agreement to purchase approximately 90 acres of undeveloped land at Baltimore Peninsula. The deal aims to settle a $40 million outstanding loan balance held by Bank OZK after previous development plans stalled.
Why it matters
This acquisition marks a shift in the trajectory of the long-stalled Port Covington area, as the new owner moves to redevelop the site with a residential focus. The deal addresses the financial overhang caused by an unpaid construction loan and Under Armour scaling back its headquarters plans.
The transaction covers 90 acres of land to satisfy $40 million in debt owed to Bank OZK. This follows the city's 2016 authorization of $660 million in tax-increment financing, most of which was never issued.
The players
Mark Sapperstein
A local real estate developer known for projects such as McHenry Row and Locke Landing.
Bank OZK
A financial institution that recently held control of the Baltimore Peninsula land due to an outstanding $40 million loan balance.
Under Armour
A sportswear company that previously planned a major headquarters at the site before scaling back its footprint.
Sagamore Ventures
An investment firm that retains ownership of phase one of the Baltimore Peninsula development.
Goldman Sachs
A global financial firm that co-owns phase one of the Baltimore Peninsula project.
The details
The joint venture between Sagamore Ventures and Goldman Sachs previously controlled the land, but transferred it to Bank OZK when a construction loan matured in late 2025. Mark Sapperstein, known for local residential projects like McHenry Row, intends to incorporate townhomes into the new site design. This transition is expected to stabilize the Baltimore Peninsula location after office space in the initial phase failed to attract sufficient tenants.
Timeline
In 2016, the City Council authorized $660 million in tax-increment financing.
A construction loan for the project joint venture matured in late 2025.
Mark Sapperstein announced the purchase agreement in October 2026.
The sale is expected to close in late 2026 or early 2027.
Money Landscape
The transition of this land follows the failure of the initial commercial vision that was supported by the 2016 city tax-increment financing authorization. Most of those authorized bonds were never issued, highlighting a shift away from high-density office development toward residential townhome use.
The shift toward residential townhomes suggests a change in the future housing inventory for the area, which may affect local property values and future homebuying options. Prospective buyers should monitor upcoming municipal filings to understand how this land use change will influence the neighborhood's long-term residential supply.
The takeaway
The pivot to residential development reflects a pragmatic adjustment to original office space projections that failed to materialize. Residents interested in future homeownership opportunities in this district should keep an eye on project permit filings as the sale closes in the coming months.
What happens next
The sale is currently projected to reach a formal closing in late 2026 or early 2027, at which point new site development plans for townhomes are expected to move forward.
Further reading
For more on shifts in local property development, explore Commercial.
Source note: This article includes information reported by The Baltimore Banner.
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